Kraft may seek Post cereals suitor

NEW YORK (CNNMoney.com) -- Kraft Foods is in the early stages of finding a buyer for its Post cereals division, known for such popular brands as Grape Nuts and Cocoa Pebbles, according to a report published Thursday.

Citing people familiar with the matter, The Wall Street Journal reported that the food maker has issued financial information about Post to potential bidders.

One source told the paper that the Post unit could sell for as much as $3 billion.

Post, which is a distant No. 3 to fellow cereal makers Kellogg Co. (Charts, Fortune 500) and General Mills (Charts, Fortune 500), could likely be snapped up by PepsiCo Inc. (Charts, Fortune 500), which produces a number of cereals, including Cap'n Crunch, according to the Journal.

Billionaire investor Nelson Peltz, who owns a 3 percent stake in Kraft, has called on company CEO Irene Rosenfeld to sell the division, the paper reported.

Rosenfeld, which took the helm at the food maker last year, has recently told investors that some brands would be sold, according to the Journal.

Kraft (Charts) shares fell more than 2 percent in Wednesday trade on the New York Stock Exchange.